Global commercial aircraft sector grew 8.9 percent in 2013 | TravelDailyNews International
  • Travel Daily News Asia
  • Travel Daily News Asia
  • Travel Daily News Greece & Cyprus
New Articles

Deloitte analysis

Global commercial aircraft sector grew 8.9 percent in 2013

2817
0
SHARES
00
Deloitte analysis found that aircraft production levels in 2013 were 31 percent higher than 2010 and were more than twice the production levels experienced 10 years ago. The analysis found that European commercial aircraft producers improved profits by 26.9 percent.

NEW YORK - Global commercial aircraft manufacturers' revenues increased 8.9 percent in 2013, according to a Deloitte analysis of the top 100 global aerospace companies.

Key industrial metrics – production output of 1,274 aircraft, net sales of 2,858 orders, a backlog of nearly eight years of production and revenues totaling nearly $105 billion – contributed to the sector's record performance. Primary drivers of new commercial aircraft requirements include increased travel demand – especially in the Middle East, India and China – as well as replacement of obsolete aircraft with new fuel-efficient models.

The analysis found that aircraft production levels in 2013 were 31 percent higher than 2010 and were more than twice the production levels experienced 10 years ago.

"Absent a global recession, the record levels of commercial aircraft production are expected to continue, with announced rate increases and new model introductions over the next several years," said Tom Captain, vice chairman, Deloitte LLP and U.S. and Global Aerospace and Defense (A&D) leader.

Profitability increased 16.3 percent in 2013, as manufacturers implemented efficiencies in pricing, internal processes, supplier management and program management. The analysis found that European commercial aircraft producers improved profits by 26.9 percent, although operating margins of 3.5 percent remained well below the operating margins among North American manufacturers of 8.2 percent.

"The key challenge for the commercial aircraft manufacturers is to de-risk the supply chain by helping suppliers address the capacity and capability requirements of increased rates of production, while lowering overall costs," added Captain.
6 Days News
Rancho Pescadero is reborn
Travel dreams are back